KARACHI: Oil marketing companies recorded volumetric sales of 1.26 million tonnes in October, up 19 per cent from a month ago but down 24pc on an annual basis.

According to a note by Topline Research on the latest industry data, the monthly jump in volumetric sales is due to the low base of the preceding month. In addition, higher prices and the fact that consumers waited in anticipation of a decline in prices to fill up their fuel tanks were also contributing factors.

The average petrol price in October came down to Rs303 per litre from Rs318 in September. Similarly, the average diesel price slipped to Rs311 per litre in October from Rs321 in September.

As for the reason behind the shrinking of sales by one-fourth on a year-on-year basis, the research house blamed higher fuel prices and an overall economic slowdown.

Data showed sales of furnace oil in October fell 74pc from a year ago to 54,000 tonnes due to lower furnace oil-based power generation.

Among the listed entities, monthly sales by Attock Petroleum Ltd clocked in at 124,000 tonnes, which translated to a 10pc decline on an annual basis.

Pakistan State Oil Company Ltd saw a fall of 26pc year-on-year to 628,000 tonnes. Its total market share stood at 50pc in October versus 51pc a year ago and 48pc a month ago.

Shell Pakistan Ltd saw a 30pc annual fall in sales to 90,000 tonnes.

The volumetric sales by Hascol Petroleum Ltd clocked in at 41,000 tonnes in October, up 19pc from the same month of 2022. About 80pc of its sales consisted of petrol in October.

For 2023-24, the research house anticipates a potential recovery in oil marketing companies’ sales, excluding furnace oil. The volumetric top line is expected to widen by up to 5pc, it said.

“This is primarily attributed to a pickup in economic activity where interest rates are expected to decline in the latter half of 2023-24, coupled with a favourable agricultural crop this year,” it added.

Published in Dawn, November 3rd, 2023